Steinhardt, Gopal introduce bipartisan bills targeting prescription drug costs, PBMs
TRENTON, N.J. — State Sens. Doug Steinhardt and Vin Gopal have introduced a bipartisan package of bills aimed at controlling prescription drug costs by imposing new requirements on pharmacy benefit managers.
Steinhardt, R-Hunterdon, Somerset and Warren, and Gopal, D-Monmouth, announced the introduction of S-4692 and S-4693, saying the legislation is intended to increase transparency and accountability involving pharmacy benefit managers, commonly known as PBMs.
PBMs serve as intermediaries in the prescription drug market, managing pharmacy benefits on behalf of health plans and performing functions that can include negotiating drug prices and pharmacy reimbursement.
“The cost of most goods are influenced by supply and demand, but prescription drug costs are manipulated by shady middlemen known as PBMs,” said Senator Steinhardt. “Vertically integrated PBMs operate as insurers, pharmacy operators, and prescription drug middlemen, creating a conflict of interest when they steer patients towards businesses they control. When the playing field is tilted in favor of PBMs it drives up the cost of medication for New Jerseyans who shop at their local pharmacies. My bill package puts patients ahead of the PBM business model and demands greater fairness, transparency, and accountability from the prescription drug market.”
The legislation follows a series of opinion pieces by Steinhardt about PBMs and their role in the prescription drug market. The most recent was jointly written by Steinhardt and Gopal.
“New Jersey families should not have to pay more for the medications they rely on because of a system that lacks transparency and accountability,” said Senator Gopal. “I’m proud to work across the aisle on commonsense solutions that will help lower costs, protect patients and local pharmacies, and bring greater accountability to PBMs.”
